No matter how many advisors, committees, or board members participate in the decisions of running a 401(k) plan, ultimate responsibility for
401(k) plan’s performance rests squarely upon the sponsor, who is usually the employer—owners and partners in a privately-held company, or shareholders (and often directors and officers) in a publicly-traded company.

Plan sponsors cannot delegate away fiduciary responsibility, and failure to meet fiduciary standards can trigger severe penalties for the company and the possibility of individual personal liability. Plan sponsors can, however, elect to contractually hold others to the same high standards that are required of them.

Unlike other 401(k) providers, Employee Fiduciary will contractually assume fiduciary responsibility with sponsors, to help shoulder the

responsibility of upholding the interests of employees. And as part of its commitment to plan sponsors and employees, Employee Fiduciary is available to act as a directed trustee for all the retirement plans it offers.
 
You Are Not Alone
  Our EF Fiduciary Guidebook also guides each employer through the steps required by the Department of Labor to maintain and demonstrate “prudent expert” fiduciary standards. And by electing EF Smart Plan defaults, an employer can rest assured that employees’ interests are secure.